Life Insurance for Seniors Over 80 [Let’s Find the Truth]
When you reach the age of 80 years in life, you come across various difficult decisions. One such decision is to buy a life insurance policy at this age. It is absolutely possible to get life insurance for seniors over 80.
There are many insurance companies that offer affordable life and burial insurance at this age.
We recommend buying whole life insurance.
It is not reasonable to justify before you learn about the other available options. So, keep reading, you will get your answer.
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Here is a list of sections we have covered in this article. Click on any of the links to go to that section or just keep reading.
- Health Condition is Crucial
- Guaranteed Acceptance Life Insurance Over 80
- Whole Life Insurance [Fixed Premium]
- Funeral or Burial Life Insurance for Over 80
- Term Life Insurance – Is It Beneficial?
- Universal Life Insurance – Is It a Good Choice?
- Should I Get a Term, Universal, Burial or a Whole Life Policy?
- How About a Graded Life Insurance?
- The Need for Buying a Life Insurance for Elderly Over 80
- 4 Important Points You Must Know
- How Do You Get Low Premiums?
- Finding the Affordable Life & Burial Insurance for Seniors Over 80
- Future Of Life Insurance For Seniors
Health Condition is Crucial
For seniors over 80, it is very common to have some major or minor health problems.
The tension starts because most of the time an underwriter checks the condition and determines health class before issuing any policy.
Why They Do That?
To determine the risk factors and price of the policy.
Let us elaborate!
Making money is to aim of every company in this world except for non-profit organizations.
An insurer is a financial company and its aim is to make money from its customers. They take monthly premiums from customers and use that money to do business.
If they don’t judge the health condition before issuing a plan it will be hard to do profit as there will be a lot of numbers of claims.
But, this doesn’t mean they will not accept you. There are dozens of insurers currently operating in the USA.
So, don’t worry at all.
Don’t be afraid of the medical tests from the beginning. You can easily get through the medical tests if there is no major health problem.
In fact, it is a good idea to present fitness records and enrollment of some fitness programs to the insurance company.
There are various health institutions that provide certifications of health to the senior citizens to justify their claims of good health.
What Happens If You Have a Major Health Problem?
In short, the price increases.
No insurer wants to lose customers until they are in force to do so.
If you failed to pass the medical exam, there are other options as well. It is really simple to get a policy without a medical exam. The majority of the senior clients opt for this.
Some don’t even try to get a policy with a medical check-up. All they do is apply for a no exam plan.
If you believe that you can’t be qualified after medical tests due to some prevailing medical condition, you can go for the guaranteed policy with no waiting period which is expensive but EASY to get.
Guaranteed Acceptance Life Insurance Over 80
This is the solution for you only if the insurer rejects you for a basic policy.
Of course, it comes with a higher price but it has benefits as well.
Anyone can buy this policy and don’t need to worry about the health condition. You can get all the benefits of whole life insurance from this plan. Just skip the medical tests.
In this policy, you will not have to provide any type of documents of health or fitness records. You will be able to purchase this policy instantly on application.
It is much convenient only when you have some kind of medical issue.
As the policy does not require any documentation works, it gets a little expensive than standard insurance policies.
Given the higher rates of this policy, senior citizens often tend to refrain from buying it.
No worries! Below, I have discussed other options and ways to get an affordable policy.
Depending on your need, you can choose the kind of policy you want to buy since there are different types of life insurance over 80.
Here we have categorized various policy options that are available for senior citizens in standard markets.
Whole Life Insurance [Fixed Premium]
If you are looking for life insurance that can offer lifetime coverage, you should get the whole life insurance.
Since it provides lifetime coverage, it charges higher premiums compared to term life insurance.
Moreover, the premiums payments are usually fixed but the whole life features a cash value. However, if you want to pay less at the beginning you can choose modified whole life insurance.
As you can accumulate the cash value and avail the death benefits too, this policy has little variation from the universal life insurance policy in terms of flexibility of investments (We discussed universal policy later in this article).
You can reinvest the dividends into the cash value and earn interest over the period of time.
One can also avail tax redemption benefits on the cash value built up in this policy.
The policyholder can also borrow a sum of the loan on the cash value from the policy. The policyholder can withdraw a certain amount of money from the policy up to the value of total tax-free premiums paid.
The major advantage of this policy is that even if you withdraw the amount, the withdrawals affect only the cash reserve value and not the death benefits from the policy.
- Protection for Entire Life
- Fixed or, Modified Premium
- Cash Value
- Loan Facility
- Death Benefit Assured
- Tax Benefits
- Slight Expensive
- Can’t Revoke
For more details about the whole life plan, read it.
Funeral or Burial Life Insurance for Over 80
Funeral insurance, burial insurance, final expense life insurance, cremation insurance, whatever you say, all are the same thing.
It is just a marketing term because it doesn’t sound efficient to say “we are selling whole life insurance with small coverage to pay for funeral costs”. Burial insurance is a simplified type of whole life insurance.
It has a very limited coverage amount and it doesn’t require any medical exam. So, with health issues, you can still qualify for this one.
The main purpose of burial insurance is to pay the costs of funeral expenses. Hence, the death benefit is lower than other types of policies.
The death benefits range from $2k to $50k only. However, it is more than enough to cover the funeral costs.
This policy doesn’t have any waiting period like other no exam plans.
Isn’t it amazing?
Here are the features:
- Fixed monthly premiums
- Fixed coverage
- Policy never expires
- Cash value benefit
- Loan facility
- Death benefits guaranteed
- Tax benefit
- Limited coverage
These are the features and an insurer can’t change any of them. Insurers follow these rules strictly.
However, the price may vary from company to company.
Term Life Insurance – Is It Beneficial?
Term life insurance is not worthy of this age. You can’t renew the policy when it will expire [we have discussed later in this article].
Let’s find some more information about the term policy.
Term life insurance covers a certain period of time which usually ranges between 1 to 30 years.
However, you may not find any policy for over a 5 years term period at this age. Term life insurance is more suitable for seniors over 70.
If you are looking for death benefits, then term policies will certainly help but if you aim to build up the cash value, it may not be much rewarding.
Another significant thing to notice about term policy is that the insurance will stop if you will stop paying its premiums. There are clauses to define this rule.
This life insurance policy gives financial protection for a certain period of time (as mentioned not more than 5 years for the elderly over 80).
Compared to permanent life insurance, term life insurance is a less costly choice. Many prefer to avail of this as it can cushion lost potential income and it can serve as a safety net.
However, in getting term policy you need to take note that you are covered only for the specific timeframe. It is helpful to cover the mortgage, any debts as well as burial expenses.
In order to elaborate term life insurance, here is an example-
If Mr. X wants to provide coverage to his wife with $10,000 for 5 years, he has to pay his monthly premiums as already discussed with the insurance firm.
If he dies before completion of 5 years, his wife gets the assured amount. However, if he survives this time period, they get $10,000 along with the accumulated rate of interest without any other cash built up.
Still, confused? Go through this article for more details.
Universal Life Insurance – Is It a Good Choice?
This is different from the whole life insurance since it is much more flexible which means that you have the option when it comes to the amount of premium payment you want to pay and the coverage amount.
Should you get universal life insurance?
It basically depends on your goal. This insurance is often used by many to preserve wealth.
It is basically considered a hybrid of the term and whole life insurance plan.
One portion of the amount that you pay towards the monthly premium is kept aside to meet the cost of the policy which is functional in providing the death benefits to the beneficiary.
As mentioned above, it enables you to build and preserve savings at the same time providing the benefits of a life insurance policy.
At the same time, the remaining portion of the premium is used for investment to help the policyholder to accumulate wealth and gather savings.
The major advantage of such a policy is that you pay for the initial years towards the premium and then the investments start covering the cost of premiums of the policy.
Being 80 years old, there are different aims of buying insurance policies. If your aim is to provide a lifelong gift to your loved ones, the universal life insurance policy can be just the perfect idea! Details are available in this content.
Should I Get a Term, Universal, Burial or a Whole Life Policy?
The most critical part is choosing the right policy.
For age 80 and above, it is strongly recommended that you get burial or whole life insurance.
It will entitle you to get a lower rate of the premium compared to term life policy at this age.
However, if you want to cover a very small amount, in that case, term life insurance could be a choice.
But, you should remember that after 10 years, you will be 90+ years old and at that age, you will not be able to renew the policy. Read about the maximum age restrictions here.
The universal policy also doesn’t worth because you don’t need huge coverage. And, you have to pay a higher premium at the beginning of the policy.
Ultimately, as a buyer, you need to make the choice based on your requirement of a life insurance policy.
How About a Graded Life Insurance?
Another option for over 80 years is graded life insurance.
However, you should take note that you may not qualify for the death benefit if you’re to pass within 2 to 3 years of buying the policy.
What is Graded Life Insurance?
It is a policy that provides coverage to anyone regardless of the prevailing risk factors, health or age. The policy was designed to cater to individuals that do not qualify for another type of insurance because they are considered to have high risks.
With this type of coverage, anyone can qualify for it. The policy costs more because of the high risks involved.
The applicant receives coverage without the need for filling a medical questionnaire or an exam.
This policy remains if the insured pays the premiums as required. Also, the underwriter need not consider any previous denials. But, once it has matured, your beneficiaries can get the complete death benefits stipulated in your life insurance contract.
Basically, the graded benefit life insurance policies are meant for people who are not eligible to attain the life insurance policy in a traditional way.
Actually, guaranteed policies are included in graded benefit type even if you are in your 40’s.
“During the initial years, this policy pays out only limited death benefits however it takes only 3 to 7 years for the policy to reach the face value. The premiums required to be paid are usually higher than standard policies for life insurance.”
Such policies are in the best interest of those who are at risk of death in the next 5 to 10 years but can survive for at least 2-3 years until the policy reaches its maturity value.
How Graded Life Insurance Works
It is a unique product that works differently from traditional whole life policies. The policy has a waiting period that must elapse before the coverage begins.
Normally, the period ranges from 1-3 years. If nothing happens to the candidate within that time frame, the coverage begins. But, if something happens, the beneficiary may only be entitled to a refund. They will not be entitled to a full payout.
The policy is a special product. It is intended for people who cannot obtain traditional coverage. So the client need not go through the traditional underwriting procedures. Neither a questionnaire nor a medical exam is needed. The policy gets approved as soon as the candidate expresses their interest. Because of the risks involved, the policies are more expensive.
Why the Policy is Popular?
It is best for consumers with medical issues. Such issues may make it difficult for them to get covered by the traditional life insurance.
At this point, we need to ask ourselves a few questions. First, how do the benefits you get under this policy compare to the traditional coverage? The simple answer is that the benefits are low because of the obvious reasons. But if the insured has paid premiums for a longer period, the benefits may go up.
Who are the Best Candidates?
This policy is normally bought as a last resort. The candidates are people who have can’t access traditional life insurance coverage. People with serious health issues or those advanced in age are the right candidates.
Also, candidates that can’t be covered because they smoke or drink can find solace in this plan. But they must be prepared to part with more money.
Note that in some cases, the policies come with a waiting period of up to two years. It is only after the lapse of the two years that the full death benefits will be available.
The pros and cons are here
- The cover is available in guaranteed and simplified issues of life policies. Also, it is the only type of life insurance policy that doesn’t look at one’s current health status. It provides coverage to all and sundry.
- Since there is no underwriting, the insurer takes significant risks. This is an advantage to the insured and the beneficiaries.
- If the insured dies during the waiting period, no money paid as premium will be lost. Instead, the money is refunded with some interest.
- It provides an excellent opportunity for any candidate who cannot benefit from traditional life insurance.
- The guaranteed amount is normal small
- It is expensive and may take long before full coverage takes effect.
- It does not provide coverage right from the day the insured seeks coverage. Instead, the waiting period may range from 2-3 years.
If the insured dies during the writing period, they will not be entitled to the benefits.
The Need for Buying a Life Insurance for Elderly Over 80
There are different reasons for people who choose to buy a life insurance policy at a later age (80 years).
Having known these reasons, it will be easier to understand the need for the type of life insurance policy that seniors must buy.
We have mentioned the most commonly found reasons here to throw some light on the topic:
Rising Funeral and Burial Costs
Although the rising GDP is good news for the economies of the countries, the standard of living has also risen in terms of expenditure with it.
Elderly people do not like to hear about the expected funeral cost that their family may have to bear on their demise from the world.
In order to cover the accelerating funeral costs, it is always safe to have a life insurance policy.
Other than funeral costs, there are plenty of uses of life insurance policy at this age which helps in easing off the financial burden in a major way.
They want to keep their heads high even during the last moments with their loved ones.
Therefore, most of the people who reach the age of 80 understand the mortality aspects of life and buy life insurance for parents over 80 to meet their last expenses. But, they believe they are too late, actually, they are not. There is also life insurance for over 85 years, so, you are still at a suitable age.
Securing the Future of Their Significant Other
There are many cases when elderly people act as the serving hand in the family. They must be supporting their spouse or some other family member with their income while they are alive.
The fear of the upkeep and financial problems of their survivor often propagates them to buy some life insurance policy.
It makes them rest assured that their loved one who is financially dependent on them can make the ends meet even if they die accidentally.
Most of the people are worried about financial independence and living costs of their significant spouse after their own death.
Protecting Against Estate Taxes
Is it true that a life insurance cover for the elderly can protect the family against estate taxes? The straight answer to the question is yes it does. In fact, it is the right coverage to take if you own expansive homes and cars.
Ordinarily, when transferring such investments to your heirs, they must pay higher taxes. Without proper coverage, it may not be easy to transfer wealth. Furthermore, if the net worth is high, tax liability becomes enormous.
So, this kind of insurance allows you to leave your net worth to your next generation. Thus, you rest in peace without worrying about inheritance tax.
Universal and whole life insurance are the best options for estate taxes. The benefits and the accumulated cash value are always sufficient to cover the taxes.
Leaving a Gift or Legacy Behind
Families these days are overburdened with financial worries in various aspects- college fees of children, weddings and other functions in the family- everything requires a large sum of money to be fulfilled.
Elderly people who have crossed these stages in life understand the implications of money and thus want to leave a financial gift or legacy behind for their younger ones.
Some people specifically buy a policy in the name of their younger children or grandchildren to attain the satisfaction of having contributed or leaving a gift even after their own death.
They want to be remembered by their children as someone who always loved, cared and thought for their family concerns.
They want to fulfill their responsibilities as the elders in the family by always remaining the giving hand and not being the financial burden on their children.
Buying a life insurance policy in these years of life can be really helpful in attaining this aim.
Payment of Their Pending Debts or Medical Expenses
While reaching the age of 80 years, people tend to acquire a lot of medical problems. Medical expenses are very high these days and a significant crunch of money is being spent on their medical bills.
Other than medical bills, there are various debts that may occur due to a shortage of money in their lifetime in order to uphold the status quo that needs to be maintained.
Buying life insurance policy over 80 helps them to pay off their pending debts, medical bills or to get the release of mortgages, etc. even after their death.
They don’t want their name or family to be questioned due to a lack of funds due to the non-payment of the pending bills.
Life insurance policy helps them to lead a life of satisfaction and free of financial worries in many ways.
Life insurance is all about protecting your loved ones. But in some cases, proceeds from the policy can come in handy during your retirement. The accumulated income can be accessed and used in retirement. The amount is allowed to grow tax-deferred.
It is also insulated from market volatility. Using life insurance cash in your retirement can have a negative implication. It is never the less one of the options that the insured can use to supplement their income.
Notice that you will not always use funds from insurance as a supplement. But whole life, variable and universal life insurance policies have this option.
4 Important Points You Must Know
The following outlines the features of a life insurance policy:
Age: It is one of the primary factors that determine the premium you have to pay when you want to get an insurance package. The plans may vary depending on the insurance package.
Some insurance companies accept applicants age over 90. Hence, getting a policy for the elderly over 80 is not going to be difficult for you.
As an applicant, you must find the insurance firms in your region that provide such policy offers for seniors.
Cost: The cost of insurance policy varies depending on the age and the coverage amount so it is just a matter of finding a plan that best fits your budget and your needs.
You need to make an outline of the points that should be covered by the policy and the budget that you can allocate from the monthly expenses towards buying insurance.
Death Benefits: In terms of death benefits, the coverage amount may range from $5000 to $25000.
For the higher amount of death benefits, you may have to keep aside a greater amount of money per month towards paying the premiums.
Questions about Health: You may be required to answer some health questions. But there are insurance providers that don’t ask health questions.
Depending on the type of insurance plan you will be asked about your health. Guaranteed life insurance for seniors over 80 is the most commonly purchased plan.
For example, if you are going to buy “no medical exam no waiting period policy” or “burial policy”, there may be no questions asked at all.
However, for a standard life insurance policy, you may be asked to provide fitness and medical certificates too.
How Do You Get Low Premiums?
For any person who wants to purchase an insurance policy, the goal is to find one that has low premiums but allows you to maximize the potential benefits that you can get.
However, for someone over 80, there are ways to have low premium especially if you did not have any major surgery (here is a list of major surgery) and any serious health condition.
To get low premiums, you have to stop smoking and drinking.
These two habits are the root causes of a myriad of health problems among adults and the worst are also the causes of death.
We suggest the young people quit smoking & drinking, a year before applying for life insurance.
But! Now it is not wise to wait another year because you are already over 80 and every year you will see a dramatic increase in the insurance premium.
If you smoke, you can get the rates applied to smokers.
Note: Most of the insurers ask for nicotine or complete blood test before approving an application.
If you have a minor health problem, you don’t have to worry since it should not impact the premiums.
Some insurance companies may require that you undergo medical tests. If you feel like you would not qualify for much lower premiums, you might want to choose this option.
You don’t have to worry about undergoing certain tests. The healthier you are, the higher the chance you can lower your premiums.
Even if you cannot lower them, it is still a must that you get life insurance so your loved ones can get your death benefits upon the time of your death.
Getting a No Exam Policy?
If you know that you have a condition that can affect the premiums you will have to pay, then it is strongly recommended that you get a no exam plan.
The premiums are slightly higher but you are guaranteed that your insurance application is approved for this kind of policy you want to get.
Finding the Affordable Life & Burial Insurance for Seniors Over 80
Every person has different needs and has their own situation.
So, when it comes to finding the best life insurance for elderly parents over 80, it is always best to take the time to compare the different choices.
Here we come in your help.
We have the most advanced policy comparison tool that you can use.
Choose your state from the box below and compare the rates by getting quotes.
Here are some tips to help you find the best life insurance deal:
Buy Only From the Trusted Brands
Before investing your hard-earned money into some company’s insurance plan, you should be sure that the company has a good reputation.
A lot of people end up having problems later on since some insurance companies may file for bankruptcy or some companies are just scam insurance providers.
Check if the insurance company has been around for years. There have been a lot of cases where scammers pose as insurance providers.
These cases have become a common sight in the market. Therefore, do not go by the offers that appear too much lucrative.
Apply a well-researched marketing approach before associating with the insurance firms. You can even choose to view their insurance license if any doubtful element comes forth.
Things To Consider of An Insurer
Choosing the wrong insurance carrier is the worst mistake you can ever make in your life. If you buy a policy from a carrier that will not deliver on their promise, you will lose your money. The stability of the company and their ability to make payment when it is due is critical.
Of course, there is an uncountable number of carriers out there. Some of them are small yet they offer sufficient burial insurance cover.
But, it is vital to choose one that is stable and whose reputation is unquestionable.
Things to look at:
Look at the firm’s past dealings. What are former clients saying about them? Are they consistent in their performance? Choosing a stable carrier is critical.
The company’s website is one of the places you will get information concerning it. A good carrier allows clients to provide feedback.
So check out what previous clients say about the company. If the feedback is below 3 stars, you need to trade carefully.
Also, you may visit the department of insurance and check how the carrier you have chosen is rated. Besides, check out the review on the Better Business Bureau (BBB) data.
If your carrier is accredited by BBB check out how they are rated. BBB will give you the information you need for complaints about the company of your choice.
Some people look at how competitive the quotes are. They do this before they pick an insurance company to underwrite their policies.
An insurance company may have the best products and rates on the market. But if they do not have the finance to allow them to meet the claim obligations as they fall due, they may be of no help. Note that life insurance companies do not have protection like banks.
So, there will be no guarantee that they will pay for the claim at the hour of need. It is for this reason that it will be in your best interest to choose a stable insurance career.
A few insurance companies offer a wide range of products. Unfortunately, most of such products are bogus and may not meet your specific needs. They are designed to help enhance payment options.
The subject of insurance is least understood. So before you choose a carrier, check if you can access the company’s representatives. They should be reachable at any time. Besides, they should be able to respond to some of the queries you have immediately. This way, you will get to understand the products they offer and choose those you can benefit from.
Cost of Premiums
The cost of premiums varies from one company to another. The difference in price may be brought about by the unique features they have. But, some firms have a habit of charging higher than the rest even when the product is the same.
So, it may be vital to compare the policies and the plans available. It should help you choose one that conserves your best interests.
Read the Contract Carefully
Compare the different prices and once you have finally sorted out your options, it is now much easier for you to determine which insurance policy is the going to suit you the most.
Just because you pay expensive premiums does not mean that you have the best deal.
Apart from comparing the prices, delve into the details of the contract. Read the terms and conditions along with the other pertinent details stipulated in your life insurance policy.
There have been several cases when people ended up paying money much more than they actually needed to pay for the points they intended to get covered by their policy.
It is all about making informed choices. Read in between the lines of the contract and ask the agent about any hidden clauses too.
It will not be a bad idea to get the policy documents verified by a legal counselor (if you know someone in person).
Specify to the insurance agent or company representative about what areas you need to get covered diligently in your policy. It may not only reduce the price of your insurance policy but also give you a clear idea of what and how much to expect from your insurance plan.
Research Your Options Online
The Internet serves to be one of the best mediums for buying a life insurance plan. You can research your options without having to rush around the shops and offices to find the plan that best suits your needs.
There are various tools available online that help in comparing and analyzing the different insurance plans offered by various companies at the same time. You can choose among the plans available at their websites and simply compare them to find what suits your needs and the budget.
One added benefit of online research is that you can seek reviews of each and every policy through the online help forums that are created by real-time buyers of the policies. All types of doubts and queries can be proposed to be addressed on these online help forums.
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You can book an appointment directly with the company representative instead of using a broker in between you and the company to strike the right deal.
Therefore we advise our customers to research their options online and make the most viable decision of buying the policy.
Future Of Life Insurance For Seniors
A late-life insurance plan has become more critical in modern life than it was a few decades ago. People are living longer, thanks to improved health care.
So, it is necessary to put in place strong financial plans. The plans should be able to support you many years past your retirement age.
Forget about savings, they are never enough. Experience shows that serious illness and other unforeseen setbacks leave many seniors exposed. You need a life insurance cover to take care of unforeseen things. They include loss of income, medical debt, and funeral expenses.
Increased Obligations in Twilight Years
It is no longer possible to imagine that you will have reduced obligations in your twilight years.
Modern seniors have more responsibilities than it was before. Mortgage debts, raising a second family and taking care of grandchildren are emerging issues. These burdens have left seniors exposed. This is why they should consider a life insurance cover.
The Average Age of Living
The improved lifestyle has made it possible for men to live to about 84 years while women go past 87 years. This was not the case in the 50s’ when the average age was between 60 and 70.
Thus, increased life expectancy has put a massive strain on retirement savings. It necessitates that the elderly must find a way that can support them past the age of 65 years.
No wonder that it is possible to see seniors battling to stay in their place of work longer. Those in good health can do so easily but the frail ones may not. It makes them vulnerable.
The savings and pensions are not enough to see them throughout the post-retirement life. Thus, getting into a life policy that earns dividends to the accumulated amount is one of the options they have.
More dividends are paid out to seniors who have more accumulations. These pay-outs can be used to meet living expenses in the twilight years.
Increased medical cost is the main cause of financial strain in many households. In the US alone, more than 62% of cases of personal bankruptcy are caused by medical debts. Many seniors have found themselves in this corner.
So, it is necessary to put in place a plan that can help them avoid such troubles. Life insurance is becoming popular because it bails seniors from such problems. With a good life insurance cover, medical debts will no longer pose a challenge to seniors.
Life insurance covers will insulate the elderly against medical debts. Some of the covers feature accelerated benefits to people with a terminal illness. The plans allow them to access 90% of the living benefits. Also, the benefits may be accessed and used before the insured dies.
The cash may be accessed in a lump sum or installments. It can be used to clear medical debts bills and meet other financial obligations.
Raising a Second Family
Life is full of ups and downs. So when living with the first family becomes untenable, it may be necessary to start a second family. In modern times, more seniors are opting for this lifestyle. The result is they must prepare to parent children from the second family in their old age.
Obviously, these aspects were not included in the retirement plan. So, it will put a strain on the resources and lead to financial challenges. This is where life insurance for seniors comes in handy. It ensures that the amount guaranteed is available when needed. It can be used to meet the needs of the beneficiaries.
Also, the prevailing tough economic times may make it necessary for the elderly to leave some guaranteed benefit to their heirs. So, life insurance is becoming part of our lives and will continue to play a critical role in this endeavor.
Life is changing fast. More seniors have found themselves carrying mortgage debts into retirement. Paying such debts is always challenging. But, with a life insurance policy, such debts will not be a problem. So life insurance plans that can take care of mortgage debts will continue to become popular.
Life insurance is becoming popular and so, people are thirsty to know more about it. They look for information that can help them understand the best options available. They are aware that the best options depend on the circumstances they are in.
Here are commonly asked questions to help you understand life insurance.
Can you get life insurance at age 80?
Yes, there are options at age 80. But, the cost becomes two to three than life insurance over 75. The plans are to help to reduce the financial burden they leave behind when they die. Burial insurance is one of the covers the seniors can opt for. We have already discussed in detail within this article.
Is term or whole life insurance better for senior citizens?
Whole life insurance is ideal for seniors with good health and looking for an affordable policy. The premiums don’t change during the policy’s term.
If the senior dies, the beneficiaries receive the death benefits. Some companies give the option of converting the term life insurance to a whole life when the term comes to an end.
What is the maximum age of term life insurance?
The maximum age is dependent on the individual carrier. Some have set a maximum at 75 while others have put it at 85 or 99. It is the maximum age the insurer will provide the coverage.
So, one may choose a term ranging from 5 to 40 years. It is all depended on the current age of the candidate.
Who can be the beneficiary of my plan?
The persons named in the policy can be the beneficiaries of the plan. Your spouse or children are the best persons to choose from.
My mom is 80 years old, which plan is suitable for her?
Because of the advanced age, the most ideal plan for her is Burial Life Insurance. The policy allows her to pay a predetermined amount of premium. It makes planning and budgeting easier. Also, the cover does not need a medical exam.
Can I buy life insurance for parents without their consent?
It may not be possible for one to buy a life insurance cover for anyone without their consent. In most cases, it requires a medical exam. There is no way you can obtain the exam from a person without their consent.
Also, in some cases, it is mandatory that the insured to sign the contract before it becomes effective. However, it is possible for parents to by a life insurance cover for the minors without their consent.
There is no arguing about the importance of having life insurance for seniors over 80.
By having a life insurance policy, seniors never have to worry about the people that they are going to leave behind since they will know that their loved ones can get the benefits of their life insurance.
It is, therefore, never too late to buy a life insurance policy, even if you are 80 years old!